

Electronic Commerce Study Guide Questions
Course Introduction
Electronic Commerce explores the principles, technologies, and strategic considerations involved in conducting business online. The course examines the foundations of e-commerce, including digital marketplaces, electronic payment systems, and online business models. Students will analyze key challenges such as security, privacy, and legal issues, as well as emerging trends like mobile commerce and social media marketing. Through case studies and practical assignments, learners will gain insights into the development, implementation, and management of successful e-commerce solutions in todays global digital economy.
Recommended Textbook
Electronic Commerce 2012 Managerial and Social Networks Perspectives 7th Edition by
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Page 2
Efraim Turban
Chapter 1: Overview of Electronic Commerce
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Sample Questions
Q1) Benefits of EC to organizations include each of the following <b>except</b>
A) cost reduction.
B) closing the digital divide.
C) supply chain improvements.
D) efficient procurement.
Answer: B
Q2) A major gateway through which employees,business partners,and the public can enter a corporate website best defines
A) corporate portal.
B) intranet.
C) extranet.
D) social network.
Answer: A
Q3) Purchasing a computer from dell.com is an example of B2B commerce.
A)True
B)False
Answer: False
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Page 3

Chapter 2: E-Commerce: Mechanisms, Infrastructure, and Tools
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Sample Questions
Q1) A method for Internet users to store,organize,search,and manage bookmarks of Web pages on the Internet with the help of metadata best defines A) tagging.
B) filtering.
C) social bookmarking.
D) intermediating.
Answer: C
Q2) A private e-marketplace in which one company sells either standard and/or customized products to qualified companies best defines A) buy-side e-marketplace.
B) sell-side e-marketplace.
C) Webstore.
D) hidden e-marketplace.
Answer: B
Q3) Define marketspace.Identify the major components and players in the marketspace.
Answer: A marketspace is where sellers and buyers can electronically exchange goods and services for money.The major components and players include customers,sellers,products and services,infrastructure,front end,back end,and intermediaries.
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Chapter 3: Retailing in Electronic Commerce: Products and Services
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Sample Questions
Q1) Each of the following is a revenue model for online independent travel agents <b>except</b>
A) contract negotiators.
B) direct revenues from commissions.
C) subscription or membership fees.
D) revenue sharing fees.
Answer: A
Q2) When new capabilities are required to conduct EC,for example capabilities in logistics and distribution,one method is to obtain them through external strategic alliances.
A)True
B)False
Answer: True
Q3) Competition among online travel e-tailers is fierce,with low margins,little customer loyalty,and increasing commoditization of products and services.
A)True
B)False
Answer: True
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Chapter 4: B2B E-Commerce
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Sample Questions
Q1) Reverse auctions are one method of electronic procurement that is very popular with public organizations where tendering is usually mandatory.
A)True
B)False
Q2) Benefits of using a third-party hosting company for conducting B2B auctions instead of developing an auction site in-house include all of the following except A) no hiring costs.
B) no redeployment of corporate resources.
C) time-to-market of several weeks.
D) no need for additional resources such as hardware, bandwidth, or IT personnel.
Q3) The purchase of goods and services as they are needed,usually at prevailing market prices,best defines
A) direct materials.
B) consolidation.
C) spot buying.
D) strategic sourcing.
Q4) What are the three major functions of exchanges?
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Chapter 5: Innovative EC Systems: From E-Government to
E-Learning, collaborative Commerce, and C2C Commerce
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Sample Questions
Q1) An example of G2C is a(n)
A) employee at the Chamber of Commerce obtaining local demographic data from a U.S. census site.
B) driver paying for the renewal of his auto tag online.
C) road contractor using the Internet to submit a closed bid on a paving contract.
D) regional hospital conducting an online reverse auction for cleaning supplies.
Q2) Major areas of government-to-citizens (G2C)activities include social services,tourism and recreation,and research and education.
A)True
B)False
Q3) Each of the following is an example of e-government <b>except</b> a(n)
A) eBay-seller selling surplus army supplies.
B) contractor submitting an application for a building permit using a city hall Web site.
C) unemployed worker consulting a Web site operated by the state employment department to learn about job openings in his city.
D) citizen taking an online drivers' education course.
Q4) Identify five advantages of e-books.
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Chapter 6: Mobile Commerce and Ubiquitous Computing
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Sample Questions
Q1) Computing capabilities that are being embedded into the objects around us,which may be mobile or stationary,best describes
A) mobile computing.
B) ubiquitous computing.
C) pervasive computing.
D) context-aware computing.
Q2) The highest level of voice support services is a voice portal,which is a website with an audio interface that can be accessed through a telephone call.
A)True
B)False
Q3) A web browser designed for use on a mobile device optimized to display Web content most effectively for small screens on portable devices best describes A) macro browser.
B) smart browser.
C) local browser.
D) mobile browser.
Q4) Define location-based m-commerce.Identify its five basic components.
Q5) Identify the seven drivers of m-commerce.
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Chapter 7: Social Commerce
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Sample Questions
Q1) To build and nurture a community is one of the major reasons to use or deploy business social networking.
A)True
B)False
Q2) Recent studies have shown that small companies do no succeed in social commerce.
A)True
B)False
Q3) Shopping communities and common forum features include
A) brand communities.
B) idea boards.
C) user galleries.
D) all of the above.
Q4) The benefits of social commerce to retailers include
A) word-of-mouth marketing.
B) increased website traffic.
C) increased sales.
D) all of the above.
Q5) Identify five categories of social networking space.For each identified category,provide an example.
Q6) Identify Howe's four categories of crowdsourcing.
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Chapter 8: Marketing and Advertising in E-Commerce
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Sample Questions
Q1) Web analytics cannot be done on a customer-by-customer basis.
A)True
B)False
Q2) A free Internet news service that broadcasts personalized news and information,including seminars,in categories selected by the user,best defines
A) Really Simple Syndication.
B) Hulu.
C) Webcasting.
D) interactive video.
Q3) Define advergaming.Briefly identify three categories of advergaming.
Q4) Paid representation refers to buying keyword ads on a web page that contains the search engine's results of a search.
A)True
B)False
Q5) Deciding from whom to buy a product best describes A) customer loyalty.
B) product brokering.
C) merchant brokering.
D) electronic branding.
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Chapter 9: E-Commerce Security and Fraud Protection
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Sample Questions
Q1) Which of the following refers to the assurance that access to data,the website,or other EC data service is timely,available,reliable,and restricted to authorized users?
A) spontaneity
B) confidentiality
C) integrity
D) availability
Q2) Which of the following refers to the assurance of data privacy and accuracy?
A) integrity
B) availability
C) confidentiality
D) security
Q3) A method of evaluating the security of a computer system or a network by simulating an attack from a malicious source best describes
A) vulnerability assessment.
B) penetration test.
C) security breach.
D) cyber audit.
Q4) Define biometric system.Identify four common biometrics.
Q5) Define encryption.Identify five major benefits of encryption.
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Chapter 10: Electronic Commerce Payment Systems
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Sample Questions
Q1) For sellers the main benefit of a letter of credit (L/C)is
A) reduced risk because the bank assures the creditworthiness of the buyer.
B) reduced risk because the bank assumes the costs.
C) greater customer loyalty.
D) improved buyer satisfaction.
Q2) Approximately 80 percent of merchants use the Address Verification System,which results in a number of ________,meaning that the merchant may reject a valid order.
A) suspicious hits
B) false negatives
C) false positives
D) positive verifications
Q3) A ________ is a card that has monetary value loaded onto it and is usually rechargeable.
A) contact card
B) contactless card
C) stored-value card
D) closed loop card
Q4) Describe smart cards,stored-value cards,and e-checks.
Q5) What costs do online merchants incur for fraudulent transactions?
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Chapter 11: Order Fulfillment Along the Supply Chain and
Other Ec Support Services
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Sample Questions
Q1) A software system that helps in managing warehouses best defines
A) decision support system.
B) risk management system.
C) warehouse management system.
D) reverse engineering system.
Q2) Which of the following B2B services creates revenue by providing content?
A) specialized directories
B) marketplace concentrators
C) transaction brokers
D) content providers
Q3) Ameritrade is an example of a transaction broker.
A)True
B)False
Q4) The movement of returns from customers to vendors best defines A) back flow logistics.
B) reverse release.
C) reverse logistics.
D) bullwhip logistics.

Page 13
Q5) Explain two reasons why an EC company's deliveries to retailers and customers may be delayed.
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Chapter 12: EC Strategy, Globalization, and Smes
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Sample Questions
Q1) A broad-based formula for how a business is going to accomplish its mission,what its goals should be,and what plans and policies will be needed to carry out those goals best defines
A) strategy.
B) business case.
C) business focus.
D) business objective.
Q2) Separating a company's online operations into a new company makes sense in each of the following situations <b>except</b>
A) when the volume of anticipated e-business is large.
B) when the subsidiary can be created without dependence on current operations and legacy systems.
C) when the company is unable to form new alliances, attract new talent, or raise additional funding.
D) when a new business model needs to be developed apart from the constraints of current operation.
Q3) Any contemporary strategy-setting process must include the Internet.
A)True
B)False
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Page 14
Chapter 13: Implementing EC Systems: From Justification to
Successful Performance
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Sample Questions
Q1) From 1995 through 2000,many EC projects and start-up companies were funded with little analysis of their business viability or finances.
A)True
B)False
Q2) According to Gartner's hype cycle,which of the following stages is the point at which the technology becomes unfashionable and the media abandons the topic,because the topic did not live up to its inflated expectations?
A) trough of disillusionment
B) slope of enlightenment
C) plateau of productivity
D) peak of inflated expectations
Q3) One of the strengths of EC is the ease with which its adopters can reach a global population of consumers.However,EC-driven businesses must consider the critical elements affecting the value of EC across cultures.These elements include each of the following <b>except</b>
A) delivery delays.
B) perceived trust.
C) consumer loyalty.
D) political influences.

Page 15
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Chapter 14: E-Commerce: Regulatory, Ethical, and Social Environments
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Sample Questions
Q1) Potential benefits of telecommuting or virtual work for an organization include
A) reduces or eliminates travel-related time and expenses.
B) improves job satisfaction and productivity.
C) allows closer proximity to and involvement with family.
D) increases productivity despite distractions.
Q2) Examples of electronic signatures to help distinguish between legitimate and fraudulent transactions include each of the following <b>except</b>
A) a name typed at the end of an e-mail message by the sender.
B) a digitized image of a handwritten signature attached to an electronic document.
C) a secret code or PIN to identify the sender to the recipient.
D) a Web site development agreement.
Q3) Corporate Web policy guidelines include each of the following <b>except</b>
A) issue word-of-mouth acceptable use policies (AUP).
B) make it clear to employees that they cannot use copyrighted or trademarked material without permission.
C) post disclaimers concerning content.
D) have attorneys with cyber law expertise review Web content.
Q4) Define green computing.Provide five guidelines for saving computing power.
Page 16
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Chapter 15: Launching a Successful Online Business and EC Projects
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Sample Questions
Q1) The simplest navigation aid is the navigation bar.
A)True
B)False
Q2) Web site usability means that people who use the Web site can do so quickly and easily to accomplish their tasks and may also consider such factors as cost-effectiveness and usefulness.
A)True
B)False
Q3) ________ is money invested in a business by an individual or a group of individuals in exchange for equity in the business.
A) Venture capital
B) Operating capital
C) Start-up funding
D) Advancement
Q4) The ________ is the name-based address that identifies an Internet-connected server.
A) domain name
B) IP address
C) host name
D) URL name
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